Bullish 2024 Bitcoin Halving Sets Up Price Surge

The recent Bitcoin halving on April 20th has the potential to kickstart a highly bullish cycle for Bitcoin. This is based on historical patterns and the emergence of spot Bitcoin exchange-traded funds (ETFs). Just before the halving, Bitcoin reached its highest price ever at over $73,600. Previous halving events have seen Bitcoin rally to new highs between 518 and 546 days later. The combination of the pre-halving all-time high and institutional inflows from US spot Bitcoin ETFs has created an incredibly bullish setup for Bitcoin, according to Sukhveer Sanghera, founder and CEO of Earth Wallet.

Despite this optimistic outlook, Bitcoin’s price fell by 5.6% on the weekly chart and is currently trading above $63,600. Over the past month, Bitcoin has rallied over 50% and is expected to continue this bullish trend in the long term. It is important to note that halvings are typically preceded by short-term corrections. Temujin Louie, CEO of Wanchain, suggests that if Bitcoin manages to rise above the $65,000 resistance, it could signal the end of the current drawdown and potentially lead to price increases of $80,000, $90,000, or even $100,000.

The recent slowdown in Bitcoin accumulation in US spot Bitcoin ETFs may have contributed to the lagging price action over the past month. During the week of the halving, these ETFs experienced negative net outflows of $398 million, compared to the previous week’s net inflows of over $199 million. Despite this temporary slump, the ten Bitcoin ETFs have accumulated over 835,000 BTC worth $53.5 billion, which accounts for 4.24% of the current Bitcoin supply.

Even with the decrease in ETF inflows, the overall narrative around Bitcoin remains positive. Jonas Simanavicius, co-founder and CTO at Syntropy, explains that new investors are still preparing to enter the market and gain Bitcoin exposure. Simanavicius also highlights that Bitcoin’s status as a hedge against inflation and political tensions is strengthening, which could further bolster its position as a safe haven asset. While there may be short-term fluctuations, the outlook for Bitcoin remains highly optimistic.